NEW YORK, Nov 26 (Reuters) - U.S. stocks ticked higher on Wednesday as the market's recent upward bias held ahead of the Thanksgiving holiday, even as a round of economic data came in below expectations.

Trading was light, with some market participants already out for Thanksgiving. The stock market will be closed on Thursday and will close early on Friday. The thin action could amplify swings, especially with the Dow and S&P having hit a string of records recently.

Market moves have been slight of late, though indexes have trended to the upside. The S&P is up in 13 of the past 16 sessions.

In the latest data, jobless claims unexpectedly rose in the latest week, topping 300,000 for the first time since early September, while new orders for U.S.-made capital goods fell for a second straight month in October.

A barometer of business activity in the U.S. Midwest declined more than expected in November. Consumer sentiment rose to its highest level in more than seven years, but was down slightly from a preliminary reading.

"This isn't enough to derail the rally we've been on, because while markets are fairly valued, when you consider the alternatives equities are still the best asset," said Matthew Keator, partner in the Keator Group, a wealth management firm in Lenox, Massachusetts.

Advancing issues outnumbered declining ones on the NYSE by 1,645 to 1,319, for a 1.25-to-1 ratio on the upside; on the Nasdaq, 1,451 issues rose and 1,137 fell for a 1.28-to-1 ratio favoring advancers.

The benchmark S&P 500 index was posting 49 new 52-week highs and 3 new lows; the Nasdaq Composite was recording 82 new highs and 28 new lows. (Editing by Nick Zieminski and Cynthia Osterman)